Creditors, investors raise concerns over Sears going-concern warning | Reuters

By Nathan Layne and Sruthi Ramakrishnan Bondholders and investors on Wednesday turned their attention to questions about just how long Sears Holdings Corp can remain in business, a day after the company's surprise disclosure it may not survive as a going concern.The disclosure raised concerns over the retailer's debt load and its ability to stock inventory heading into the crucial 2017 holiday season."While I don't think the new disclosure means they will definitely file BK in 2017, it does seem to signal that the next 12 months are even more crucial than has been the case in recent years, as their margin of error is getting slim," said Chad Brand, president of Peridot Capital Management, a Sears bondholder.BK is a shorthand for bankruptcy - a prospect raised after Sears flagged doubts about its ability to stay in business in the "risk factors" section of its annual report."Our historical operating results indicate substantial doubt exists related to the company's ability to continue as a going concern," Sears said in the report.Sears spokesman Howard Reif said the company hopes the actions it is taking will keep it in business.Sears' shares were down 13 percent at about $7.90 in early trading on Wednesday.The company, which has $13.19 billion in liabilities, noted that it could have difficulty procuring merchandise from vendors.

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| Reuters appeared first on Firstpost.